Today, Paul explains that the basics of investing are easy to forget and that emotions often play a bigger role in investing decisions than we’d like to think. One example of this that is easy to spot is American investors and American investment firm’s obsessing over US companies. Listen along as Paul explains how American investors get groomed to believe that the market is only US companies, and how investment firms either sell products that are overweighted in US companies or only sell international funds after they’ve gone up and are “easier” to sell. Both of these practices violate the basic investing principles of diversification and avoiding marketing timing. Later in the episode, Paul finds an article that addresses the stress of stepping away from adult children financially and helping them learn independence.
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